Top 5 Key Insights Before Today’s Stock Market Opens

Market Highlights for April 24, 2025

U.S. stock futures are trending downward as investors digest recent corporate earnings following a two-day market rally. Alphabet (GOOGL), Google's parent company, is set to unveil its eagerly awaited quarterly results after the closing bell. Meanwhile, IBM (IBM) shares are tumbling in premarket trading after its CEO cautioned that clients might adopt a cautious spending approach. Tesla (TSLA) continues to experience declining sales in the European Union for the third consecutive month, and PepsiCo (PEP) has revised its full-year profit forecast downward. Here's a comprehensive overview of what market participants should know today.

1. U.S. Stock Futures Retreat After Back-to-Back Gains

Following a two-day surge fueled by optimism around President Donald Trump's positions on Federal Reserve Chairman Jerome Powell and China trade tariffs, U.S. stock futures are now pointing lower. Dow Jones Industrial Average futures have dropped by 0.5% after the index rose 1.1% in the previous session. Futures for the Nasdaq and S&P 500 are also slightly down. Bitcoin (BTCUSD) is retreating to approximately $92,500, while gold and oil futures are on the rise. Additionally, yields on the 10-year U.S. Treasury note have dipped below 4.35%.

2. Alphabet’s Quarterly Earnings Report Expected After Market Close

Shares of Alphabet (GOOGL) show minimal movement in premarket trading ahead of the company’s highly anticipated first-quarter earnings release. Analysts forecast an 11% increase in year-over-year revenue, with earnings per share expected to reach $2.01. Despite economic uncertainties, market experts remain optimistic about Alphabet’s resilience. However, the stock has declined roughly 18% so far this year.

3. IBM Shares Fall Amid CEO’s Client Spending Caution

IBM (IBM) stock is down 7% in premarket trading following a cautionary statement from CEO Arvind Krishna. Despite reporting better-than-expected quarterly earnings—adjusted EPS of $1.60 and revenue of $14.51 billion, both surpassing consensus estimates—Krishna warned that short-term client uncertainty might lead to a "wait-and-see" stance. He noted, however, that no significant changes in client purchasing behavior have been observed yet.

4. Tesla’s European Sales Decline Continues

Tesla’s (TSLA) new car registrations in the European Union have dropped for the third month running. Data from the European Automobile Manufacturers' Association indicates a 36% year-over-year decrease in March, contributing to a 45% decline so far this year. This follows a 47% drop in February and a 50% fall in January. Contrastingly, overall battery-electric vehicle registrations in the EU increased by nearly 17% in March. Tesla shares are slightly lower in premarket activity.

5. PepsiCo Revises Profit Forecast Amid Rising Tariff and Economic Pressures

PepsiCo (PEP) has lowered its full-year earnings guidance due to concerns over tariff-related costs and macroeconomic volatility. The company now expects core earnings per share (EPS) to remain flat for the year, down from an earlier projection of mid-single-digit growth. PepsiCo cited increased supply chain expenses linked to tariffs, ongoing economic uncertainty, and a cautious consumer environment as key factors. While sales of $17.92 billion exceeded analyst expectations, core EPS of $1.48 fell short. Shares remain steady in premarket trading.

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